General Union Budget for Year 2012-13
INCOME TAX SLAB FOR YEAR 2012-13 (AY 2013-14) FOR INDIVIDUAL TAXPAYERS...
- Exemption Limit for Individual Taxpayers Raised to Rs. 2 Lakh
- Upper Limit of 20 Per Cent Tax Slab Raised to Rs. 10 Lakh
- Deduction up to Rs. 10,000 Proposed for Savings Bank Interest
- Senior Citizens not having Income from Business Exempted from Payment of Advance Tax.
- The exemption limit for the general category of individual taxpayers has been increased to Rs. 2,00,000 from Rs. 1,80,000 in the General Union Budget 2012-13. This step will give tax relief upto Rs. 2,000 to every taxpayer in this group.
- New introduced the DTC (Direct Taxes Code) rates for personal income tax, marking progress in the direction of movement towards DTC and GST (Goods and Services Tax).
- In the General Union Budget 2012-13, it has also been proposed to raise the upper limit of 20 per cent tax slab from Rs. 8 lakh to Rs. 10 lakh. The proposed personal income tax slabs are:
| Income uptoRs. 2 lakh
| Income above Rs. 2 lakh and uptoRs. 5 lakh
| Income above Rs. 5 lakh and upto Rs.10 lakh
| Income above Rs. 10 lakh
- In another relief to the individual taxpayers, a deduction of upto Rs. 10,000 has been proposed for interest from savings bank accounts. This would help a large number of small taxpayers with salary incomes upto Rs. 5 lakh and interest from savings bank accounts upto Rs. 10,000 as they would not be required to file income tax returns.
- It has also been proposed to allow deduction of Rs. 5,000 for preventive health check up.
- For senior citizens not having income from business, it has been proposed to exempt them from payment of advance tax.